What is included in the estimated range of costs for real estate/rent for a Goldfish Swim School?
Goldfish_Swim_School Franchise · 2025 FDDAnswer from 2025 FDD Document
| Type of Expenditure | Amount | Method of Payment When Due | To Whom Payment Is To Be Made | |
|---|---|---|---|---|
| Franchise Fee 1 | $40,000 - 50,000 | ,000 - 50,000 Cashier's Check | Us | |
| Real Estate Fee | $0 - 2,500 | Cashier's Check | ||
| Real Estate/Rent 3 | $0 - 82,000 | As Arranged | Before and During Initial Period of Operations | Lessor |
| Architectural Fees | $34,500 – 85,000 | As Arranged | Before Beginning Operations | Architect |
| Leasehold | $1,334,230 – | As Before Beginning Arranged Operations | Contractor, | |
| Improvements 4 | 2,685,033 | Suppliers | ||
| Insurance 5 | $4,283 - 5,700 | As | Before Beginning | Insurance |
| Arranged | Operations | Company |
3 Real Estate/Rent. You must lease or otherwise provide a suitable facility for the operation of the franchised swim school. Typically, the facility will range in size from 6,000 to 9,500 square feet. It is difficult to estimate lease acquisition costs because of the wide variation in these costs between various locations. Lease costs will vary based upon square footage, cost per square foot and required maintenance costs. The low estimate is based on an assumption that you will own your property and, therefore, have no security deposit or rent obligations in the initial period. The high estimate is based upon an assumption that you will lease your property and includes 3 months rent and a security deposit. Some landlords may refund the security deposit if you cancel the lease before you occupy the premises. The estimated range of costs in
this category includes your costs to enter into a lease agreement for the facility and rental expense for the opening period of operations (3 months). These estimates do not include property acquisition or real estate costs. If you choose to purchase the building you will not have a lease deposit or rent.
Source: Item 7 — ESTIMATED INITIAL INVESTMENT (FDD pages 21–27)
What This Means (2025 FDD)
According to the 2025 Goldfish Swim School FDD, the estimated cost for real estate and rent ranges from $0 to $82,000. This range accounts for the costs associated with entering into a lease agreement and covers rental expenses for the initial three months of operation. The FDD specifies that the estimates do not include property acquisition or real estate costs. If a franchisee chooses to purchase the building, they will not incur lease deposit or rent expenses.
The document notes that the size of a typical Goldfish Swim School facility ranges from 6,000 to 9,500 square feet, which influences the lease costs. The low end of the estimate ($0) assumes the franchisee already owns the property, thus eliminating security deposit or rent obligations during the initial period. Conversely, the high end of the estimate ($82,000) assumes the franchisee will lease the property, including three months' rent and a security deposit.
Prospective franchisees should be aware that real estate and rental costs can vary significantly based on location, square footage, and required maintenance. The security deposit may be refundable if the lease is canceled before occupying the premises. It is crucial for franchisees to carefully evaluate these factors and negotiate favorable lease terms to manage their initial investment effectively.